The Effect Of Vehicle Group And Vehicle Age On Car Insurance Premiums


Insuring A Luxury Or Powerful Car If You Are A Safe Risk

The table below uses the Safe Driver on the Data Entry screen and the Mainstream Quoter but substitutes a vehicle from groups 1 to 20 and aged from new to 12 years old.

This gives an idea of how much of a luxury car you can have if you have a set budget for insurance and don't mind going for an older car.
The premiums for the BMW 745 (group 11) and 750 (group 20) are quite interesting, one is a luxury vehicle but "safe" and the other "risky" yet in practice for many people the are almost the same.

So this would suggest that with a little bit of pre purchase checking insurance might not stop you driving in style and comfort.

Vehicle Group 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008
VAUXHALL CORSA GLS 1 £422.58 £414.90 £407.21 £399.53 £391.85 £384.16 £376.48 £368.80 £361.11 £353.43 £345.75 £338.06 £384.16
RENAULT CLIO RN 2 £428.00 £420.22 £412.43 £404.65 £396.87 £389.09 £381.31 £373.52 £365.74 £357.96 £350.18 £342.40 £389.09
VOLKSWAGEN POLO MATCH 3 £422.58 £414.90 £407.21 £399.53 £391.85 £384.16 £376.48 £368.80 £361.11 £353.43 £345.75 £338.06 £384.16
DACIA DUSTER GLD 4 £491.26 £480.95 £470.64 £461.00 £452.13 £443.26 £434.40 £425.53 £416.67 £407.80 £398.94 £390.07 £443.26
FORD FIESTA 1.1 FIREFLY 5 £438.83 £430.85 £422.87 £414.90 £406.92 £398.94 £390.96 £382.98 £375.00 £367.02 £359.04 £351.07 £398.94
LADA SAMARA GSX 6 £560.55 £548.98 £537.42 £525.85 £514.28 £502.71 £491.14 £479.57 £468.01 £457.65 £447.70 £437.75 £502.71
MITSUBISHI CARISMA GL TD 7 £472.36 £462.77 £454.20 £445.63 £437.06 £428.49 £419.92 £411.35 £402.78 £394.21 £385.64 £377.07 £428.49
FORD MONDEO GLX 16V 8 £617.25 £604.65 £592.05 £579.45 £566.85 £554.25 £541.65 £529.05 £516.46 £503.86 £491.26 £478.66 £554.25
FORD SIERRA L AUTO 9 £711.74 £697.43 £683.11 £668.79 £654.47 £640.16 £625.84 £611.52 £597.20 £582.89 £568.57 £554.25 £640.16
BMW 745 LI 11 £806.24 £790.20 £774.17 £758.13 £742.10 £726.06 £710.03 £693.99 £677.95 £661.92 £645.88 £629.85 £726.06
FORD GRANADA I AUTO 12 £856.64 £839.68 £822.73 £805.78 £788.83 £771.88 £754.92 £737.97 £721.02 £704.07 £687.12 £670.17 £771.88
CITROEN XANTIA LXI 16V 13 £919.63 £901.53 £883.44 £865.34 £847.24 £829.15 £811.05 £792.95 £774.85 £756.76 £738.66 £720.56 £829.15
VOLKSWAGEN SCIROCCO GTI AUTO 15 £907.03 £889.16 £871.30 £853.43 £835.56 £817.69 £799.82 £781.96 £764.09 £746.22 £728.35 £710.48 £817.69
FORD SIERRA XR4X4 I 16 £938.53 £920.09 £901.65 £883.21 £864.77 £846.33 £827.89 £809.45 £791.00 £772.56 £754.12 £735.68 £846.33
FORD MONDEO 24V GHIA AUT 17 £1341.71 £1315.94 £1290.16 £1264.39 £1238.62 £1212.85 £1187.08 £1161.31 £1135.54 £1109.77 £1083.99 £1058.22 £1212.85
LEXUS GS 300 LEGATO AUTO 18 £1203.11 £1179.86 £1156.61 £1133.36 £1110.11 £1086.86 £1063.61 £1040.36 £1017.10 £993.85 £970.60 £947.35 £1086.86
AUDI A8 SPORT AUTO 19 £1360.61 £1334.49 £1308.38 £1282.26 £1256.15 £1230.03 £1203.92 £1177.80 £1151.69 £1125.57 £1099.46 £1073.34 £1230.03
BMW 750 I SPORT 20 £2003.17 £1965.37 £1927.57 £1889.77 £1851.98 £1814.18 £1776.38 £1738.58 £1700.79 £1662.99 £1625.19 £1587.39 £1814.18




Vehicle Group

Vehicle Group
AUDI A8 SPORT AUTO 19
BMW 745 LI 11
BMW 750 I SPORT 20
CITROEN XANTIA LXI 16V 13
DACIA DUSTER GLD 4
FIAT X1/9 TURBO 21
FORD FIESTA 1.1 FIREFLY 5
FORD GRANADA I AUTO 12
FORD MONDEO 24V GHIA AUT 17
FORD MONDEO GLX 16V 8
FORD SIERRA XR4X4 I 16
FORD SIERRA L AUTO 9
LADA SAMARA GSX 6
LEXUS GS 300 LEGATO AUTO 18
MITSUBISHI CARISMA GL TD 7
RENAULT CLIO RN 2
VAUXHALL CORSA GLS 1
VOLKSWAGEN SCIROCCO GTI AUTO 15
VOLKSWAGEN POLO MATCH 3
All of the simulated quoters use these groups for the vehicles.

The ABI code list for vehicles has 50 groups, the quoters used here have 21 groups and even at that number you can get into fake accuracy.

Is a group 11 vehicle more of a risk than a group 10 vehicle or is it just a quirk of the stats, the 1.3LX had less crashes that the 1.3L last year?

Vehicle Group Multipliers

  Alcohol Recovery Young Driver Mainstream
Group Comp TPFT TPO Comp TPFT TPO Comp TPFT TPO
1 1.00 1.00 Decline 0.84 0.82 Decline 0.78 Decline Decline
2 1.00 1.00 Decline 0.84 0.82 Decline 0.79 Decline Decline
3 1.00 1.00 Decline 0.85 0.83 Decline 0.78 Decline Decline
4 0.98 0.98 Decline 0.86 0.84 Decline 0.9 Decline Decline
5 0.98 0.98 Decline 0.86 0.84 Decline 0.81 Decline Decline
6 0.96 0.96 Decline 0.87 0.875 Decline 1.01 Decline Decline
7 0.9 0.88 Decline 0.9 0.88 Decline 0.87 Decline Decline
8 0.9 0.88 Decline 0.9 0.88 Decline 1.1 Decline Decline
9 1.0 0.9 Decline 1.0 0.9 Decline 1.25 Decline Decline
10 1.01 1.01 Decline 1.32 1.2 Decline 1.32 Decline Decline
11 1.09 1.09 Decline 1.4 1.25 Decline 1.4 Decline Decline
12 1.15 1.15 Decline 1.48 1.35 Decline 1.48 Decline Decline
13 1.2 1.2 Decline 1.58 1.4 Decline 1.58 Decline Decline
14 1.25 1.25 Decline 1.7 1.45 Decline 1.47 Decline Decline
15 1.3 1.3 Decline 1.9 1.5 Decline 1.56 Decline Decline
16 1.35 1.35 Decline 1.95 1.55 Decline 1.61 Decline Decline
17 1.450 1.4 Decline 2.0 1.6 Decline 2.25 Decline Decline
18 1.6 1.45 Decline 2.3 1.7 Decline 2.25 Decline Decline
19 1.8 1.5 Decline 2.8 1.8 Decline 2.28 Decline Decline
20 2.3 1.95 Decline 3.3 1.9 Decline 3.3 Decline Decline
21 Decline Decline Decline Decline Decline Decline Decline Decline Decline
The first and most striking feature is that all three quoters decline on Third Party Only risks, nowadays TPO seems to be going out of fashion. The difference in liability for the insurer between TPO and TPFT is tiny so the premium difference would also be tiny and its hardly worth the effort of maintaining the rates along with why would anyone want TPO?

All three quoters show a definite trend to a more expensive cars meaning a higher premium but the differences between them are noticeable.

Up to vehicle group 13/14 the Alcohol recovery scheme makes far smaller changes to the premium based on vehicle types then the other schemes with a multiplier pretty close to 1.

There is some distrust of very low group vehicles, is the driver going to get frustrated by the performance and even higher group vehicles only roughly double the premium.

The young driver scheme is much closer to what you might expect a fairly regular increase up to a multiplier that pretty much makes the insurance unaffordable.

The Mainstream quoter has a few groups where the rating factor is lower even though the group is higher, generally this sort of thing happens because the ABI group doesn't match the statistics that an insurer is using.

Although it is simple to assign a car to a group using its characteristics relative to other cars it is much hard to determine how small changes in the vehicle group will affect real world thefts and accidents.

You then need to consider vehicle age, when the factor for vehicle age is applied the absolute effect of vehicle group multiplier is going to be changed.



Vehicle Age

  Alcohol Recovery Young Driver Mainstream
Year Made Comp TPFT Comp TPFT Comp
2020 1.550 1.5 2.1 1.5 1.1
2019 1.5 1.41 1.9 1.41 1.08
2018 1.45 1.32 1.7 1.32 1.06
2017 1.4 1.22 1.55 1.22 1.04
2016 1.35 1.19 1.4 1.19 1.02
2015 1.3 1.10 1.3 1.10 1
2014 1.25 1.08 1.25 1.08 0.98
2013 1.2 1.06 1.2 1.06 0.96
2012 1.15 1 1.15 1 0.94
2011 1.10 0.9 1.10 0.9 0.92
2010 1.1 0.85 1.1 0.85 0.9
2009 1.05 0.8 1.05 0.8 0.88
2008 1 0.786 1 0.786 1
2007 1 0.786 1 0.786 1
2006 1 0.786 1 0.786 1

Vehicle Age Multipliers

Having seen that the vehicle group can double or even triple a premium what happens when you also consider vehicle age?

The first thing that you might notice is that the vehicle age multiplier is not specific to vehicle group, so a 10 year sporty car get the same percentage loading for being old as a 10 year old family hatchback. Some other schemes may be different and have age per vehicle group but it wouldn't be reasonable to assume that to be the case.

Whilst it is reasonable to argue that a 17 year won't usually have access to a new powerful car but might have access to effectively the same car when it is 10 years old the vehicle group and driver age multiplier will make the insurance too expensive anyway. As those who can afford that insurance will be statistically insignificant there would be no way to rate on it.

The main reason that vehicle age affects premiums is mostly the cost of repair, pattern parts can be used and smaller repairs are often not claimed for.

These repair costs are also reflected in the lower multipliers for TPFT where policy holder's vehicle repairs are not covered

The simulated quoters do not check that the vehicle model was actually made on the specified year, to do so would mean that the list of vehicles would have to grow massively just to be able to demonstrate a point.
Author:Ian Smith
Date Created:2020-08-01
Date LastModified:2020-08-01


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